Starting Tuesday, millions of low-income people will get a second installment to help them pay their energy bills.
This is on top of the £400 discount on energy bills that all UK households have been helped with as costs have risen sharply.
Who is getting living expenses?
Two payments totalling £650 will be paid to more than 8 million low-income households.
The first instalment of £326 was paid between 14th and 31st July. The second installment of £324 will be paid from 8 to 23 November. They apply to families receiving the following benefits:
- Universal Credit
- Income-based Jobseeker’s Allowance
- Income-related employment and support allowances
- income support
- working tax credit
- Child Tax Credit
- pension credit
The payment reference on the recipient’s bank account will be their National Insurance Number followed by “DWP COL”.
There are 1.1 million people who only get tax credits, not any other benefits.
They will receive a second payment directly into their bank account between November 23rd and 30th. The payment reference will be “HMRC COLS”. Their first payments were made between September 2 and 7.
How will the £400 energy discount be paid for?
This will be applied over six months, with a reduction of £66 in October and November, and a reduction of £67 a month between December 2023 and March 2023. Some customers may deposit money directly into their bank account.
Discounts will be automatically provided by energy suppliers in England, Scotland and Wales. No application or additional information is required.
The messages invited people to apply for a £400 discount, then instructed recipients to click on a fake website linked to energy regulator Ofgem. The scam encourages people to hand over their personal details and set up direct debit. \
In fact, direct debit and credit customers will have money added to their account or automatically added to their bank account. Customers using a prepaid meter will have the amount applied to their meter or receive a voucher.
Anyone not using gas and electricity – such as those using heating oil – will get an extra £100 on top of £400.
If people receive the New Employment and Support Allowance, Contributory Employment and Support Allowance or the New Jobseeker’s Allowance, they are not eligible for these payments – unless they have Universal Credit.
Anyone who thinks they are entitled to help but has not yet should contact the office that pays their benefit or tax credit, or report it here.
To be eligible for the latest instalment, people must have been claiming and entitled to benefit payments between August 26 and September 25, with the exception of pensioner households, who may be able to claim new pension credits .
None of these cost-of-living payments will affect the taxes you pay, or the benefits or tax credits you receive.
What help do people with disabilities get?
- Disability Living Allowance
- Individual independent payment
- Attendance allowance
- Scottish Disability Allowance
- Armed Forces Independent Payments
- Continuous Attendance Allowance
- War Pension Liquidity Supplement
What extra help will pensioners get?
Families receiving the winter fuel subsidy – worth £200 to £300, almost all households with at least one retirement age receive the subsidy – will receive an extra £300 in November or December.
This should cover almost all pensioners in the UK.
Low-income pensioners who apply for the Pension Credit will receive the money, in addition to the £650 support for those on benefit.
This means a small group of disability pensioners will receive a total of £1,500.
What other payments were made?
Around 80% of households should have received a £150 energy rebate, usually through their council tax bill.
The payment method depends on whether you pay council tax by direct debit and where you live in the UK.
Some received fuel vouchers through a family support fund distributed by local councils.
What else has the government done to address energy prices?
The government has announced an energy price guarantee, capping the typical dual-fuel home’s annual energy bill to £2,500. It was originally designed to last two years, but was later shortened to six months, ending in April.
It’s not a cap on how much you’ll actually pay – your bill depends on the amount of energy you’re actually using.
The scheme is available to all families in England, Scotland and Wales, with “the same level of support” available in Northern Ireland.
How is the additional support funded?
The government says its energy support for homes and businesses will cost £60bn over six months. It will be paid for by increasing government borrowing.
The final bill will also depend on what energy companies have to pay producers in the coming months.
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